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Rossing South Targeted Exploration Potential

SOUTH PERTH, Western Australia, July 29 /CNW/ - Extract Resources ("the
Company"), (TSX:EXT;ASX:EXT), a Uranium exploration company with projects in
Namibia, Africa, today announced a preliminary exploration target at Rossing
South of between 126 and 198 million pounds U3O8.
Deep Reverse Circulation drilling at Rossing South has proceeded smoothly
since the resumption of field work on the Husab Project in mid January 2008
where approximately 22,600 metres have been drilled at Rossing South
(81 angled RC holes, together with 755 metres in two angled diamond holes).
Drill sections spaced at 400 metres along strike have defined two
significant zones of uranium mineralization (Zone 1 and Zone 2), with a
cumulative strike length of approximately 3 kilometres (see Appendix 1). The
intervening ground separating the two zones remains unexplored.
The Company has recently commenced a programme of infill drilling which
will ultimately bring the drill spacing on both Zone 1 and Zone 2 to a
100 x 100 metre grid. Apparent continuity of the mineralized alaskite bodies
appears to be very good, allowing for basic geological and grade modeling to
define the broad exploration potential for the Rossing South project area.
Consequently, the Company has derived some internal target exploration
parameters which it believes may be reasonably achievable as conceptual
exploration targets for Rossing South.
Grade modelling is based on factored drill hole intercepts derived from
spectral gamma logging of one metre drill samples. Mineralized zones have been
modeled to terminate 200 metres from the last mineralized section, and no
allowance has been made for potential extensions. A bulk density value of 2.6
has been assumed, and is well supported by current knowledge. The exploration
target is presented within ranges of tonnage and grade, and occurs between the
surface and approximately 250 metres vertical depth. Both Zones remain open to
the south and at depth.
Rossing South - Conceptual Exploration Target
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Area Tonnage Tonnage Grade Grade Uranium Uranium
Estimate Estimate Estimate Estimate Content Content
Lower Upper Lower Upper Lower Upper
scenario scenario scenario scenario scenario scenario
(million (million (ppm U3O8) (ppm U3O8) (million (million
tonne) tonne) lb U3O8) lb U3O8)
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Zone 1 100 140 260 300 57.3 92.5
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Zone 2 120 160 260 300 68.7 105.8
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Totals 220 300 260 300 126.0 198.3
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Note: The Exploration Target potential quantity and grade is conceptual
in nature, as there has been insufficient exploration to define a Mineral
Resource and it is uncertain if further exploration will result in the
determination of a Mineral Resource.
Exploration to date at Rossing South has taken place over 6.2 kilometres
of a 15 kilometre long zone of covered (but potentially uranium bearing)
stratigraphy between the licence boundary and the northern termination of the
Ida Dome. Continued exploration and resource definition drilling on this zone
is a priority for the Company.
Infill drilling at Rossing South will initially focus on the most
northern of the two mineralized zones (Zone 1), with the intention of
providing a maiden resource for Rossing South during the first quarter of
2009. Ongoing drilling beyond quarter one 2009 is expected to result in the
definition of additional zones of significant uranium mineralisation.
To see Appendix 1, Husab Project - Rossing South Prospect, please visit:
http://files.newswire.ca/736/RossingSouthProspect.doc
About Extract
Extract Resources is an Australian-based uranium exploration company
whose primary focus is in the African nation of Namibia. The Company's
principal asset is its 100%-owned Husab Uranium Project which contains three
known uranium targets: Ida Dome; Hildenhof; and Rossing South. Rossing South
represents the Company's first new discovery in this area with enormous
potential. Extract is listed on the ASX and the TSX under the ticker symbol
"EXT". For more information on Extract visit www.extractresources.com.
The information in this report that relates to Exploration Results,
Mineral Resources or Ore Reserves is based on information compiled by
Mr Martin Spivey, who is a Member of The Australasian Institute of Mining and
Metallurgy and Mr Andrew Penkethman who is a Member of the Australian
Institute of Geoscientists. Mr Spivey and Mr Penkethman are both full time
employees of the Company. Mr Spivey and Mr Penkethman have sufficient
experience which is relevant to the style of mineralisation and type of
deposit under consideration and to the activity which they are undertaking to
qualify as a Competent Person as defined in the 2004 Edition of the
'Australasian Code for Reporting of Exploration Results, Mineral Resources and
Ore Reserves'. Mr Spivey and Mr Penkethman consent to the inclusion in this
report of the matters based on their information in the form and context in
which it appears.
Reference to hand held spectrometer results refers to use of a Company
owned Exploranium, GR-135 Plus, hand held spectrometer. The uranium values are
recorded by placing the unit on the bulk RC sample bags and expressed as parts
per million (ppm) eU which is equivalent to ppm U. Results from these units
provide an indication of uranium mineralisation they may also be affected by
uranium mobility and disequilibrium. These factors should be considered when
interpreting eU information whilst waiting for confirmation chemical assay
results.